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If you believe that the rich consume and the poor invest, then the best stimulus during times of recession is tax cuts for the rich. I take it this is your pref

If you believe that the rich consume and the poor invest, then the best stimulus during times of recession is tax cuts for the rich. I take it this is your preferred policy for the next recession? There is no particular reason investment has to come from rich people. That's just how western economies seem to work. As I noted, in Namibia, poor people do seem to invest new wealth.

pbhjpbhj 11y ago
Where did I say that the poor invest (they do, in The West, eg in pensions, but we're talking generalities)? We're all clearly consumers. Rich people costume more than there share, they still have excess financial wealth to invest. Redistributing this would allow poorer people opportunity to take part in investment which in turn should lead to more redistribution. Tax increases for the rich in recession would (with a similarly naive analysis to the one you proffered) reduce the tax burden on the poor and allow then to become richer, increasing their consumption. Millions can buy a new TV instead of one person getting a yacht.
- yummyfajitas 11y ago
  You just contradicted yourself, and agreed that the rich invest while the poor consume. Glad we are in agreement!
  - pbhjpbhj 11y ago
    >agreed that the rich invest while the poor consume // You just twisted my words and acted disingenuously. I said, for the third time, the rich consume. The rich consume far more than the poor. The rich invest more than the poor, but that's because the poor don't have money to invest. Take all the money from the rich and give it to the poor and consumption and investment will shift. The people holding the money aren't as special as capitalism would have us assume.
    - yummyfajitas 11y ago
      The point is what will happen in aggregate. If the poor gain $1 additional and the rich lose $1 additional, will investment go up or down? If it goes up then we should target fiscal stimulus at the rich during bad economic times. If it goes down then a BI will reduce future investment. You are unfortunately in the situation that the stated reasons for your preferred policies contradict each other. That's quite strange - it's almost as if those stated reasons are post-hoc justifications and not your real motivation.
      - aninhumer 11y ago
        Perhaps investment goes down, but it will be more focused on things that benefit society as a whole, because they are much more able to consume it. Basic Income makes "vote with your wallet" a meaningful concept, instead of a hollow joke.

pbhjpbhj 11y ago

Where did I say that the poor invest (they do, in The West, eg in pensions, but we're talking generalities)? We're all clearly consumers. Rich people costume more than there share, they still have excess financial wealth to invest. Redistributing this would allow poorer people opportunity to take part in investment which in turn should lead to more redistribution. Tax increases for the rich in recession would (with a similarly naive analysis to the one you proffered) reduce the tax burden on the poor and allow then to become richer, increasing their consumption. Millions can buy a new TV instead of one person getting a yacht.

yummyfajitas 11y ago
You just contradicted yourself, and agreed that the rich invest while the poor consume. Glad we are in agreement!
- pbhjpbhj 11y ago
  >agreed that the rich invest while the poor consume // You just twisted my words and acted disingenuously. I said, for the third time, the rich consume. The rich consume far more than the poor. The rich invest more than the poor, but that's because the poor don't have money to invest. Take all the money from the rich and give it to the poor and consumption and investment will shift. The people holding the money aren't as special as capitalism would have us assume.
  - yummyfajitas 11y ago
    The point is what will happen in aggregate. If the poor gain $1 additional and the rich lose $1 additional, will investment go up or down? If it goes up then we should target fiscal stimulus at the rich during bad economic times. If it goes down then a BI will reduce future investment. You are unfortunately in the situation that the stated reasons for your preferred policies contradict each other. That's quite strange - it's almost as if those stated reasons are post-hoc justifications and not your real motivation.
    - aninhumer 11y ago
      Perhaps investment goes down, but it will be more focused on things that benefit society as a whole, because they are much more able to consume it. Basic Income makes "vote with your wallet" a meaningful concept, instead of a hollow joke.